Is the Equipment Purchase Price refundable when purchasing the Initial Fitness Equipment Package for an Aira Fitness franchise?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
You must purchase or lease an initial fitness equipment package ("Initial Fitness Equipment Package") from a supplier approved by us that may include us, our affiliate or a third party.
Upon termination or expiration of this Agreement, we also will have the option, to purchase any or all of the assets used in connection with the operation of the Aira Fitness Business including, without limitation, equipment, fixtures, signage, furnishings, supplies and leasehold improvements. The purchase price for the assets will be determined by a qualified appraiser selected with the consent of both parties, provided we give you written notice of our preliminary intent to exercise our purchase rights under this Section 15.B. within thirty (30) days after the date of the expiration or termination of this Agreement.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
Based on the 2025 Aira Fitness Franchise Disclosure Document, franchisees must purchase or lease an Initial Fitness Equipment Package from an Aira Fitness-approved supplier, which may include Aira Fitness, its affiliates, or a third party. The FDD does not specify whether the purchase price of the Initial Fitness Equipment Package is refundable.
However, the FDD does state that Aira Fitness has the option to purchase any or all of the assets used in connection with the operation of the Aira Fitness Business, including equipment, upon termination or expiration of the Franchise Agreement. The purchase price for the assets will be determined by a qualified appraiser selected with the consent of both parties. This suggests a potential avenue for recouping some costs associated with equipment, but only upon termination or expiration and at a depreciated value determined by appraisal.
Because the FDD does not explicitly state whether the initial purchase price is refundable, it is important that prospective Aira Fitness franchisees clarify the refundability of the Initial Fitness Equipment Package purchase price with the franchisor before signing the Franchise Agreement. Understanding the terms of equipment purchases and potential refunds or buy-back options is a crucial part of assessing the overall investment and risk involved in the Aira Fitness franchise.